Novo Nordisk A/S (NYSE:NVO) Stock Price Down 3% – Here’s Why

Novo Nordisk A/S (NYSE:NVO) shares dropped 3% during trading on Friday . The stock traded as low as $53.54 and last traded at $54.41. Approximately 14,586,673 shares traded hands during mid-day trading, an increase of 21% from the average daily volume of 12,099,559 shares. The stock had previously closed at $56.09.

Analyst Ratings Changes

NVO has been the subject of several research reports. Dbs Bank upgraded Novo Nordisk A/S from a “strong sell” rating to a “hold” rating in a research note on Friday, August 22nd. Morgan Stanley cut shares of Novo Nordisk A/S from an “overweight” rating to an “underweight” rating and dropped their price target for the company from $59.00 to $47.00 in a research report on Monday, September 29th. Barclays reaffirmed an “equal weight” rating on shares of Novo Nordisk A/S in a research report on Wednesday, July 30th. Berenberg Bank raised shares of Novo Nordisk A/S from a “hold” rating to a “buy” rating in a research report on Wednesday, September 17th. Finally, TD Cowen dropped their price target on shares of Novo Nordisk A/S from $105.00 to $70.00 and set a “buy” rating on the stock in a research report on Tuesday, August 19th. Two analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $76.00.

Novo Nordisk A/S Stock Performance

The company has a current ratio of 0.78, a quick ratio of 0.56 and a debt-to-equity ratio of 0.52. The firm has a market cap of $242.93 billion, a P/E ratio of 14.95, a PEG ratio of 2.50 and a beta of 0.68. The company’s 50-day moving average is $56.24 and its two-hundred day moving average is $62.72.

Novo Nordisk A/S (NYSE:NVO) last posted its earnings results on Wednesday, August 6th. The company reported $0.97 EPS for the quarter, topping the consensus estimate of $0.93 by $0.04. Novo Nordisk A/S had a net margin of 35.60% and a return on equity of 78.64%. The firm had revenue of $11.69 billion for the quarter, compared to analysts’ expectations of $77.51 billion. As a group, equities analysts predict that Novo Nordisk A/S will post 3.84 EPS for the current fiscal year.

Novo Nordisk A/S Cuts Dividend

The company also recently announced a semi-annual dividend, which was paid on Tuesday, August 26th. Shareholders of record on Monday, August 18th were given a dividend of $0.4119 per share. The ex-dividend date of this dividend was Monday, August 18th. This represents a dividend yield of 240.0%. Novo Nordisk A/S’s dividend payout ratio (DPR) is currently 22.53%.

Hedge Funds Weigh In On Novo Nordisk A/S

Hedge funds have recently modified their holdings of the company. Unified Investment Management bought a new position in shares of Novo Nordisk A/S during the 2nd quarter worth approximately $692,000. Acadian Asset Management LLC lifted its position in shares of Novo Nordisk A/S by 15,919.9% during the 1st quarter. Acadian Asset Management LLC now owns 1,044,658 shares of the company’s stock worth $72,523,000 after buying an additional 1,038,137 shares in the last quarter. Norden Group LLC increased its stake in shares of Novo Nordisk A/S by 216.3% during the 2nd quarter. Norden Group LLC now owns 96,332 shares of the company’s stock worth $6,649,000 after purchasing an additional 65,877 shares during the last quarter. Guild Investment Management Inc. increased its stake in shares of Novo Nordisk A/S by 20.7% during the 2nd quarter. Guild Investment Management Inc. now owns 36,995 shares of the company’s stock worth $2,553,000 after purchasing an additional 6,345 shares during the last quarter. Finally, Farther Finance Advisors LLC increased its stake in shares of Novo Nordisk A/S by 48.7% during the 2nd quarter. Farther Finance Advisors LLC now owns 103,138 shares of the company’s stock worth $7,119,000 after purchasing an additional 33,794 shares during the last quarter. Institutional investors own 11.54% of the company’s stock.

Novo Nordisk A/S Company Profile

Novo Nordisk A/S, together with its subsidiaries, engages in the research and development, manufacture, and distribution of pharmaceutical products in Europe, the Middle East, Africa, Mainland China, Hong Kong, Taiwan, North America, and internationally. It operates in two segments, Diabetes and Obesity Care, and Rare Disease.